Sunday, May 15, 2011

Collision Imminent

Decreasing Demand

"Two giant industries are starting to collide, Energy and Information. They have coexisted peacefully for some time. A couple of major changes in their operating environment have recently changed the dynamic. One is the energy limit of the earth's ecosystem. The other is the roll of efficiency in adapting to that limit."

"Efficiency can be enhanced by replacing a large part of energy consumption with information interchange."

The most common business model for Energy depends on ever increasing demand. Due to network effects, the information industry reduces demand for it while increasing its capacity to provide information value to its constituents.

Information control has been the linchpin of the demand based Energy business model. The industry responsible for adding value and connection to constituents is better served by not being subordinated to Energy interests going forward.

Any industry necessarily is ultimately accountable to life (humanity, sentients, plants etc.) And its priorities are subject to the best interests of the whole.

One industry needs to adjust its business model. The other could help with the transition. Ego-centered-management is trending down. Its stewardship of the planet's resources has performed poorly. Its had its chance and is now being replaced by a friendlier regime.